The Chicago-based company expects to refile with the Office of the Comptroller of the Currency by the end of August, restructuring its proposal around a more focused range of trust activities. Zerohash has said the return was an administrative action rather than a rejection of the merits of its business and that its existing operations remain unaffected.
Under OCC rules, returning an application is distinct from denying it. A filing can be sent back without a substantive decision when the regulator considers it materially deficient, meaning it lacks sufficient information for an assessment under applicable statutory or regulatory standards. The OCC clarified in June that such filings can also be returned when additional information supplied by an applicant does not adequately address regulatory requests.
Zerohash’s original proposal was broad. Filed in late February and formally listed by the OCC in early March, it sought to create Zerohash National Trust Bank in Asheville, North Carolina. The proposed institution would have operated without Federal Deposit Insurance Corporation deposit insurance and offered digital-asset custody, fiat custody, custodial staking, validation, transfer-agent services, trade execution, stablecoin management, settlement, clearing and escrow services.
The company now plans to sequence those ambitions, seeking approval initially for national trust activities more closely aligned with the timetable for its planned rollout. That approach could reduce the number of regulatory issues the OCC must resolve at the first stage and potentially improve the chances of a faster review. Zerohash has indicated that it hopes the resubmission can receive prompt consideration.
The regulatory episode carries wider significance because Zerohash has become an important infrastructure supplier to large financial institutions expanding into digital assets. Its technology supports crypto, stablecoin and tokenised-asset services for companies including Morgan Stanley, Interactive Brokers, Stripe and Franklin Templeton. The firm says it operates regulated entities across 51 US jurisdictions alongside licences in several overseas markets.
Morgan Stanley’s relationship with Zerohash has placed the company particularly close to Wall Street’s growing retail cryptocurrency push. ETrade customers can trade Bitcoin, Ether and Solana through accounts powered by Zerohash, integrating crypto access alongside conventional securities services. Eligible customers have been offered direct cryptocurrency trading through the ETrade website and application rather than being required to move to a separate crypto exchange.
Morgan Stanley first disclosed the partnership in September 2025 as it prepared to introduce spot cryptocurrency trading during the first half of 2026. Zerohash had also completed a funding round of more than $100 million that valued the company above $1 billion, with Interactive Brokers leading the investment and Morgan Stanley and SoFi participating.
The trust-bank application formed part of Zerohash’s effort to deepen its federal regulatory standing as conventional financial institutions adopt blockchain-based products. A national trust charter would place qualifying operations under OCC supervision and potentially allow the company to consolidate activities that are otherwise conducted through a patchwork of state and specialised regulatory frameworks. Its February proposal described the planned bank as a wholly owned subsidiary within the Zerohash corporate group.
The application also faced opposition from community banking interests. The Independent Community Bankers of America urged the OCC to deny or postpone approval, arguing that Zerohash’s proposed activities extended beyond traditional trust powers and could create regulatory-arbitrage concerns. It also questioned whether risk-management arrangements surrounding the proposed institution had received adequate independent scrutiny.
Those objections form part of a wider debate over the growing number of cryptocurrency and fintech companies seeking national trust charters. The OCC has received applications during 2026 from companies including Payward, Agora, EDX, Lorum and World Liberty-linked entities, as digital-asset groups seek federal structures covering custody, stablecoins and other blockchain services.
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